On January 1, 2018, Paete Company signed a 12-year lease for a building. Paete has an option to renew the lease for an additional 8- year period on or before January 1, 2022. During January 2020, Paete made substantial improvements to the building. The cost of the improvements was P3,600,000, with an estimated useful life of 15 years. At December 31, 2020, Paete intended to exercise the renewal option. Paete has taken a full year's amortization on this improvement. What should be the depreciation charge for the year ended 31 December 2020? P360,000 P200,000 P300,000 P240,000